Bitcoin price is currently amid a “bump & run reversal” that demands serious upside movement, according to Capriole CEO, Charles Edwards.
The flagship crypto is now setting up a classic trading move that may see the BTC price hit $100,000, according to the analyst.
In a tweet on March 14, Charles Edwards called BTC price action in 2023 a “bump & run reversal.”
Edwards On BTC Price: The Bottom Has Formed
Having surged above $26,000 to reach new nine-month highs earlier this week, Bitcoin is in the midst of a recovery that is rarely seen before.
Despite consolidating below $25,000 at the time of publication, longer timeframes are already getting analysts quite excited after the severe 2022 bear market.
According to Edwards, Bitcoin in 2023 has been straight out of the market’s textbooks. The flagship crypto is trying to fulfill a “bump and run reversal pattern.” The bottom phase of the bump and run is defined by investment resource Wealthy Education this way:
“The bump-and-run reversal bottom is a bullish reversal pattern that begins with a series of descending peaks. Excessive speculation drives prices down until reaching extreme lows. The price action then reverses direction to the upside and marks the end of the downtrend.”
Edwards summarized:
“Textbook perfect Bitcoin ‘Bump & Run Reversal’ bottom is back and the target is over $100,000.”
The accompanying charts described the bump and run phenomenon, showing Bitcoin in the latter stages of its trend break and solidifying a critical resistance/support flip.
What comes next – the so-called ‘uphill run’ – gives bitcoin a six-figure target.
Nevertheless, Edwards agreed that, just like any other chart pattern, bump and run may ‘fail’ and should never be used as the basis for a trading or investment strategy.
Major Bitcoin Price Resistance Coming Up
For others, sky-high BTC price valuations remain a distant fantasy.
Directly above the current spot price is an area of heavy resistance that Bitcoin bulls have failed to overcome for now. Looking at the weekly timeframes, key moving averages (MAs) also remain unchallenged.
Buy Bitcoin NowWhile commenting on the current interplay between Bitcoin and the 200-week MA, trader and analyst Rekt Capital argued:
“Best case scenario for BTC is to break the 200 MA on this current move.”
He showed that past rejections had already delivered double-figure losses. He continued:
“The 200 MA is weakening as resistance. However, what if the 200 MA rejections are declining by 10% each time?”
“If BTC fails to break the 200 MA soon, could BTC reject by -12%?”
